Ivan Pantic/E+ via Getty Images It is time to downgrade Uber (UBER). The company has proven the doubters wrong - and the stock has taken off in tandem. The company capitalized on the pandemic to increase the synergistic power of its ridesharing and food delivery ecosystem, leading to improved competitive positioning in relation to its closest ridesharing peer. The company has held on to its profitability gains and continues to show operating discipline. Together with its solid balance sheet, the company app ...

adamkaz Uber Technologies (NYSE:UBER) has done a great job of scaling its business and becoming a winner in both ridesharing and food delivery. However, with the stock more than doubling over the past year, the name looks close to fairly valued at the moment. Company Profile UBER is a rideshare, delivery, and logistics company that operates in three segments. Its Mobility segment connects passengers with transportation including ridesharing, carsharing, taxis, public transport, and rentals. The company oper ...

Uber Technologies (UBER) closed the most recent trading day at $63.47, moving +1.7% from the previous trading session. The stock outperformed the S&P 500, which registered a daily loss of 0.07%.Coming into today, shares of the ride-hailing company had gained 0.71% in the past month. In that same time, the Computer and Technology sector gained 2.5%, while the S&P 500 gained 3.98%.The upcoming earnings release of Uber Technologies will be of great interest to investors. The company's upcoming EPS is projected ...

Key TakeawaysThe last trading day of 2023 was a loser for U.S. equities, with the S&P 500 dropping 0.3%.Uber Technologies was downgraded by Nomura, which said the potential growth for the stock was already priced in.Boston Scientific said it was optimistic U.S. regulators would approve its system to treat irregular heartbeats in the early part of next year.U.S. equities ended the last trading day of 2023 on a down note, with the S&P 500 falling 0.3% and missing a chance to set an all-time high.However, the ...

Uber Technologies, Inc. (NYSE:UBER) broke the potential $60 resistance amid growing bullish bets. The stock traded at $62, its highest since March 2021, shy of its record $64 as of February 2021. But Uber buyers are not yet done, as analysts believe the stock has more than 20% upside potential.Oppenheimer and Fox Advisors are optimistic that Uber can proceed to the $75 price. Citi analysts hold a similar view, maintaining a bullish sentiment on the ride-hailing stock. Citi sees strong Uber fundamentals, cit ...

Uber Stock Price Prediction in 2030: Bull, Base & Bear Forecasts Spencer Platt / Getty Images News via Getty Images On May 10, 2019, Uber Technologies Inc. (NYSE: UBER) opened for trading on the New York Stock Exchange. The company had priced the stock at the low end of its $44 to $50 range, and the first trades were made at $42. Hardly an auspicious beginning.Uber raked in $8.1 billion at the IPO, valuing it at around $75 billion. At the time, it was one of just 53 U.S.-listed firms worth at least $10 bi ...

When it comes to consumer internet stocks, investors might be eyeing Lyft (LYFT 3.52%) as a potential buying opportunity right now.Its revenue growth accelerated in the most recent quarter, and it enjoys a strong competitive advantage thanks to network effects. And its stock, which is 80% below its peak price, currently trades at an affordable price-to-sales ratio of 1.3.These might appear to be compelling arguments for scooping up shares of Lyft, but this would be the wrong move because its chief rival is ...

Financial Data and Key Metrics Changes - Q3 2023 marked a strong quarter for the company with year-on-year trip growth accelerating to 25% from 22% in Q2, outpacing gross bookings growth for the third consecutive quarter [9] - Adjusted EBITDA exceeded Q3 outlook, with the adjusted EBITDA margin exceeding 3% for the first time [10] - The company reported that earners earned $15.9 billion in Q3, up 23% on a constant currency basis [59] Business Line Data and Key Metrics Changes - The Mobility business saw strong growth, with UberX growing over 20% year-on-year, driven by an increase in the number of drivers on the platform, now at 6.5 million earners, up over 30% year-on-year [22][59] - New growth initiatives, including hailables products, are generating $9 billion in annual run rate, growing over 80% year-on-year [23] - The company is focusing on expanding its product offerings, including low-cost options like UberX Share, which is gaining traction among lower-income consumers [62] Market Data and Key Metrics Changes - The Asia Pacific and Latin America regions showed substantial year-on-year growth, with significant contributions from new products and services [19][20] - International markets with large GDPs, such as Germany, Spain, and Argentina, grew more than 150% year-on-year, indicating strong potential for future growth [24] Company Strategy and Development Direction - The company aims to scale GAAP operating income and free cash flow while making disciplined investments to fund growth initiatives that deliver long-term value [16] - The focus is on enhancing the user experience through machine learning and data analytics to improve matching and conversion rates [35][40] - The company is optimistic about expanding its Uber for Business segment and exploring new verticals like health and transit [41] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to operate under various regulatory frameworks while maintaining flexibility for drivers and couriers [82] - The company has not observed significant consumer spending weakness, attributing resilience to the local nature of its business [90] - Future growth is expected to be driven by increased penetration in airport bookings and the expansion of the Uber One membership program [95][50] Other Important Information - The company is transitioning to a new CFO, Prashanth, who is expected to build on the foundation laid by the outgoing CFO, Nelson Chai [11] - The advertising business is progressing well, with a target of exceeding $1 billion in revenue, focusing on larger advertisers and sophisticated technology [109] Q&A Session Summary Question: What are the drivers of the acceleration in Mobility gross bookings in Q3? - Management highlighted strong audience and frequency trends, particularly in APAC and LatAm markets, and the introduction of new products like Moto [14][15] Question: What are the biggest drivers of sustainable mobility gross bookings growth? - The core UberX business is driven by adding more drivers, with new growth initiatives contributing significantly to overall growth [22][23] Question: How is the company optimizing driver supply? - The company has reduced incentive spending by 41% year-on-year, focusing on maintaining high earnings for drivers and improving onboarding efficiency [53] Question: What is the company's exposure to the Middle East crisis? - The Middle East represents about 2% of overall gross bookings, with some weakness observed in specific countries, but overall impact on the business is minimal [85] Question: How does the company view economic sensitivity? - Management believes the local nature of the business makes it relatively resistant to macroeconomic uncertainties, with consumer spending remaining strong [90] Question: What is the outlook for capital returns to shareholders? - The new CFO will prioritize capital return strategies, including potential buybacks or dividends, as the company is now eligible for S&P inclusion [117]

[PART I - FINANCIAL INFORMATION](index=4&type=section&id=PART%20I%20-%20FINANCIAL%20INFORMATION) [Item 1. Financial Statements](index=4&type=section&id=Item%201.%20Financial%20Statements) This section presents Uber's unaudited condensed consolidated financial statements for the three and nine months ended September 30, 2023, compared to the same periods in 2022, showing a significant turnaround to profitability in Q3 2023 with net income reaching $221 million and total assets growing to $35.9 billion Condensed Consolidated Balance Sheet Highlights (in millions) | Account | Dec 31, 2022 | Sep 30, 2023 | | :--- | :--- | :--- | | **Total Current Assets** | $9,249 | $10,679 | | **Total Assets** | $32,109 | $35,949 | | **Total Current Liabilities** | $8,853 | $9,405 | | **Total Liabilities** | $23,605 | $25,430 | | **Total Equity** | $8,074 | $10,125 | Condensed Consolidated Statement of Operations Highlights (in millions) | Metric | Q3 2022 | Q3 2023 | 9 Months 2022 | 9 Months 2023 | | :--- | :--- | :--- | :--- | :--- | | **Revenue** | $8,343 | $9,292 | $23,270 | $27,345 | | **Income (Loss) from Operations** | $(495) | $394 | $(1,690) | $458 | | **Net Income (Loss) Attributable to Uber** | $(1,206) | $221 | $(9,736) | $458 | Condensed Consolidated Statement of Cash Flows Highlights (in millions) | Metric | 9 Months 2022 | 9 Months 2023 | | :--- | :--- | :--- | | **Net Cash Provided by Operating Activities** | $886 | $2,762 | | **Net Cash Provided by (Used in) Investing Activities** | $132 | $(2,407) | | **Net Cash Provided by (Used in) Financing Activities** | $104 | $(141) | [Notes to Condensed Consolidated Financial Statements](index=11&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) The notes provide detailed disclosures supporting the financial statements, including revenue recognition, segment performance, and significant legal and tax contingencies Revenue by Segment (in millions) | Segment | Q3 2022 | Q3 2023 | 9 Months 2022 | 9 Months 2023 | | :--- | :--- | :--- | :--- | :--- | | **Mobility** | $3,822 | $5,071 | $9,893 | $14,295 | | **Delivery** | $2,770 | $2,935 | $7,970 | $9,085 | | **Freight** | $1,751 | $1,286 | $5,407 | $3,965 | | **Total Revenue** | **$8,343** | **$9,292** | **$23,270** | **$27,345** | Segment Adjusted EBITDA (in millions) | Segment | Q3 2022 | Q3 2023 | 9 Months 2022 | 9 Months 2023 | | :--- | :--- | :--- | :--- | :--- |\n| **Mobility** | $898 | $1,287 | $2,287 | $3,517 | | **Delivery** | $181 | $413 | $310 | $1,030 | | **Freight** | $1 | $(13) | $8 | $(50) | - The company is challenging a VAT assessment from UK tax authorities (HMRC) totaling **£493 million (approx. $622 million)**, which was paid in Q3 2023 to proceed with an appeal. The payment is recorded as a receivable as management believes the appeal will be successful[164](index=164&type=chunk)[165](index=165&type=chunk) - Legal challenges to driver classification as independent contractors are ongoing. The California Supreme Court granted a review of a lower court's decision that upheld Proposition 22, with a decision expected in **2024**. Similar lawsuits are active in Massachusetts and Switzerland[144](index=144&type=chunk)[145](index=145&type=chunk)[149](index=149&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=35&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses the company's financial performance for Q3 2023, highlighting a 15% YoY increase in Monthly Active Platform Consumers (MAPCs) to 142 million and a 21% rise in Gross Bookings to $35.3 billion, alongside achieving net income of $221 million and Adjusted EBITDA of $1.1 billion Q3 2023 Key Financial and Operational Highlights (YoY % Change) | Metric | Q3 2022 | Q3 2023 | % Change | | :--- | :--- | :--- | :--- | | Monthly Active Platform Consumers (MAPCs) | 124 million | 142 million | 15% | | Trips | 1,953 million | 2,441 million | 25% | | Gross Bookings | $29,119 million | $35,281 million | 21% | | Revenue | $8,343 million | $9,292 million | 11% | | Adjusted EBITDA | $516 million | $1,092 million | 112% | - The California Supreme Court's review of Proposition 22's constitutionality remains a key focus, with a decision expected in **2024**. Management notes that an adverse ruling requiring driver reclassification would **significantly increase expenses**[195](index=195&type=chunk)[197](index=197&type=chunk) - Net cash from operating activities for the first nine months of 2023 was **$2.8 billion**, which included a cash outflow of **approximately $622 million** for a disputed UK VAT assessment[293](index=293&type=chunk)[296](index=296&type=chunk) [Results of Operations](index=39&type=section&id=Results%20of%20Operations) This subsection provides a detailed analysis of the consolidated statement of operations, showing Q3 2023 revenue increased 11% YoY to $9.3 billion, driven by a 21% increase in Gross Bookings, and achieving income from operations of $394 million - Sales and marketing expenses decreased by **$212 million (18%)** in Q3 2023 compared to Q3 2022, primarily due to business model changes that reclassified **$521 million** of consumer promotions as contra-revenue[235](index=235&type=chunk) - General and administrative expenses decreased by **$262 million (29%)** in Q3 2023, mainly due to a **$188 million** reduction in legal settlements and related expenses[241](index=241&type=chunk) - Other Income (Expense), net, improved from a **$535 million** expense in Q3 2022 to a **$52 million** expense in Q3 2023. This was largely due to smaller unrealized losses on equity securities, which were a **$96 million** loss in Q3 2023 versus a **$550 million** loss in Q3 2022[249](index=249&type=chunk)[250](index=250&type=chunk)[251](index=251&type=chunk) [Segment Results](index=45&type=section&id=Segment%20Results) This subsection analyzes the performance of Uber's three segments, showing strong growth in Mobility and Delivery, contrasted with a decline in the Freight segment due to a challenging market Q3 2023 Segment Performance vs. Q3 2022 (in millions) | Segment | Revenue | Revenue % Change | Adjusted EBITDA | Adjusted EBITDA % Change | | :--- | :--- | :--- | :--- | :--- | | **Mobility** | $5,071 | 33% | $1,287 | 43% | | **Delivery** | $2,935 | 6% | $413 | 128% | | **Freight** | $1,286 | (27)% | $(13) | N/M | [Liquidity and Capital Resources](index=50&type=section&id=Liquidity%20and%20Capital%20Resources) As of September 30, 2023, Uber had $4.4 billion in cash and cash equivalents, with net cash from operating activities significantly increasing to $2.8 billion for the first nine months of 2023, despite a $622 million payment for a disputed UK VAT assessment - Net cash provided by operating activities was **$2.8 billion** for the nine months ended Sep 30, 2023, compared to **$886 million** for the same period in 2022[295](index=295&type=chunk)[296](index=296&type=chunk) - Net cash used in investing activities was **$2.4 billion**, primarily due to **$5.9 billion** in purchases of marketable securities, partially offset by **$3.0 billion** in proceeds from sales and maturities[298](index=298&type=chunk) - The company paid **approximately $622 million (£493 million)** to UK tax authorities (HMRC) for a disputed VAT assessment, which decreased operating cash flow but is recorded as a receivable pending appeal[304](index=304&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=51&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) This section details Uber's primary market risk exposures, including interest rate fluctuations on its floating-rate debt, investment volatility from its $9.1 billion in equity investments, and foreign currency risk from extensive international operations - A hypothetical **100 basis point** increase in interest rates would decrease the fair value of the company's fixed-rate notes by **$196 million** as of September 30, 2023[310](index=310&type=chunk) - The company holds **$9.1 billion** in investments as of September 30, 2023, including in **privately-held and public companies**, which exposes it to equity price risk and potential volatility in net income[314](index=314&type=chunk) - Uber is exposed to foreign currency risk as it transacts business globally. This risk is partially mitigated because revenues and expenses are often in the same local currencies[315](index=315&type=chunk) [Item 4. Controls and Procedures](index=52&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that the company's disclosure controls and procedures were effective at a reasonable assurance level as of September 30, 2023, with no material changes to internal control over financial reporting during the quarter - The CEO and CFO concluded that as of September 30, 2023, the company's disclosure controls and procedures are **effective at a reasonable assurance level**[317](index=317&type=chunk) - There were **no material changes** to internal control over financial reporting during the third quarter of 2023[318](index=318&type=chunk) [PART II - OTHER INFORMATION](index=53&type=section&id=PART%20II%20-%20OTHER%20INFORMATION) [Item 1. Legal Proceedings](index=53&type=section&id=Item%201.%20Legal%20Proceedings) This section incorporates by reference detailed legal proceedings from Note 12, covering driver classification and tax matters, and discloses other material proceedings such as class action lawsuits in Australia filed by taxi and hire-car industry participants - The company references Note 12 for details on material legal contingencies, including those related to Driver Classification and State Unemployment Taxes[322](index=322&type=chunk)[326](index=326&type=chunk) - A class action lawsuit has been filed in Australia by taxi and hire-car industry participants, alleging that Uber's operations from 2014 to 2017 were **unlawful and caused financial damages**. A trial is scheduled for **March 2024**[324](index=324&type=chunk) [Item 1A. Risk Factors](index=53&type=section&id=Item%201A.%20Risk%20Factors) This section provides a comprehensive overview of significant risks, including potential driver reclassification, intense competition, a history of significant financial losses, dependence on user retention, security breaches, and a complex global regulatory landscape - The classification of drivers as independent contractors remains a **primary risk**, with ongoing legal challenges in the U.S. and abroad. An adverse outcome could force a **fundamental change to the business model and significantly increase operating expenses**[329](index=329&type=chunk)[334](index=334&type=chunk) - The company operates in **highly competitive industries with low barriers to entry** and faces pressure to offer incentives and promotions, which has **adversely affected and may continue to affect financial performance**[338](index=338&type=chunk)[344](index=344&type=chunk) - The company has a history of **significant losses** (**$32.3 billion** accumulated deficit as of Sep 30, 2023) and **may not achieve or maintain profitability** as it continues to invest in growth and new offerings[347](index=347&type=chunk) - The business is exposed to **security and data privacy breaches**, such as the 2016 incident affecting 57 million users. Future incidents could result in **significant liability, regulatory scrutiny, and reputational harm**[397](index=397&type=chunk)[399](index=399&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=90&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) This section discloses a minor unregistered sale of equity in July 2023, where the company issued 37 shares of common stock upon the conversion of Careem Convertible Notes, exempt from registration under Regulation S - In July 2023, Uber issued **37 shares** of common stock upon the conversion of Careem Convertible Notes at a price of **$55 per share**. The sale was exempt from registration under Regulation S[516](index=516&type=chunk) [Item 5. Other Information](index=90&type=section&id=Item%205.%20Other%20Information) This section reports that on August 24, 2023, CFO Nelson Chai entered into a pre-arranged Rule 10b5-1 stock trading plan for the potential sale of up to 200,000 shares of Uber common stock between November 2023 and August 2024 - CFO Nelson Chai entered into a **Rule 10b5-1 trading plan** on August 24, 2023, for the potential sale of **up to 200,000 shares** of common stock[517](index=517&type=chunk) [Item 6. Exhibits](index=90&type=section&id=Item%206.%20Exhibits) This section lists the exhibits filed with the Quarterly Report on Form 10-Q, including corporate governance documents and required certifications from the Principal Executive and Financial Officers - The Exhibit Index lists all documents filed with the report, including required CEO and CFO certifications under Sarbanes-Oxley Sections 302 and 906[518](index=518&type=chunk)[520](index=520&type=chunk) [Signatures](index=92&type=section&id=Signatures) The report is formally signed and authorized by the company's principal executive and financial officers - The Form 10-Q was signed on **November 7, 2023**, by Dara Khosrowshahi, Chief Executive Officer, and Nelson Chai, Chief Financial Officer[526](index=526&type=chunk)

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ____________________________________________ FORM 10-Q ____________________________________________ (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from_____ to _____ Commission File Number: 001-38902 _____________________ ...